King Bid Document - Proposed Local Economic Development of Erf 1233 Estcourt

LOCAL MUNICIPALITY – UMKHANDLU WENDAWO
PLANNING SERVICES DEPARTMENT
BID DOCUMENT
BID NO: ILM 01/23/24
PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

THE AERODROME AREA
BIDDERS NAME: ………………………………………………………….......................

INDEX TO BID DOCUMENTS
1. INVITATION TO BID
2. CONDITIONS OF BID
3. GENERAL CONDITIONS OF CONTRACT
4. SPECIFICATION
5. SPECIAL CONDITIONS OF CONTRACT
6. FORM OF BID
7. MBD FORMS
8. PARTICULARS OF BIDDER
10. CLARIFICATION MEETING

INKOSI LANGALIBALELE LOCAL MUNICIPALITY
BID DOCUMENT

ERF 1233 ESTCOURT
BID INVITATION
ADVERTISEMENT
PROPOSED LOCAL ECONOMIC DEVELOPMENT OF ERF1233 ESTCOURT

BID NO: ILM01/23/24
Inkosi Langalibalele Local Municipality hereby invites proposals in terms of Section 83 of the Municipals
Systems Act, Act 32 of 2000 as amended and Sections 110 and 112 of the Municipal Finance Management
Act, Act 56 of 2003 from Local Economic Development service providers for the leasing of the below vacant
land for development.
Compulsory
Project Name Bid No Closing Date
Briefing Date
Proposed Local Economic

17 August 2023 05 September 2023
Development of ERF1233 ILM01/23/24
at 10:00 a.m. at 11:00 a.m.
Estcourt.
Tender documents will be available in pdf format as from 08 August 2023 on e-tenders website.
A compulsory briefing session to be held at Inkosi Langalibalele Municipality offices, Civic building,
Victoria Street, Estcourt on 17 August 2023 at 10:00 (AM), Printed Tender Documents must be
presented for signing (Compulsory), thereafter a site visit, please provide your own transport.
This tender will be evaluated either 80/20 or 90/10 preferential procurement policy framework (PPPFA)
Regulations 2022, notwithstanding that the evaluation will also examine the experience of the tenderer which
must be submitted with proof of experience in the form of the “Company Profile together with the proof of
implementation or completed projects of at least 3 previous projects of similar size and nature.
The “Pre-qualification” evaluation criteria will be based on the following functionalities:
CRITERIA POINTS
Track Record and Relevant Experience
30
( 3 projects & above = 30) 10 points per project
Relevant Registration of Key Personnel.
10
Comprehensive Proposal including Project Plan and Schedule
(Relevance = 30; Moderate submission (20) Insufficient information 30
= 10; none = 0)
Audited Financial Statements and display financial capacity to
20
implement the project.
Locality
10
(Uthukela District = 10; Around KZN = 5) and outside KZN (0)
TOTAL 100
Evaluation criteria will Pre-qualification, Price and preferential Points whereby the specific goals will be waited
as follows:
1. Specific Goals
Goal Method of Evaluation Points
Financial Capacity Bank Rating Letter
Category A 20
Category B 15
Category C 10
Category D 7
Category E 5
NB: PREFERENCE WILL BE GIVEN TO THE FOLLOWING CATALYTIC PROJECTS:

• GAME CHANGERS;
• MAJOR ENABLERS; and
• MAJOR NEEDS.
Tenderers need to score a minimum of 70 % in terms of the “Pre-qualification” before the tender is considered
for further evaluation.
Tenders are to be completed in full bond and in accordance with the conditions and bid rules contained in
the bid documents and supporting documents must be placed in a sealed envelope and clearly marked
“(Proposed Local Economic Development of ERF1233 Estcourt)” quoting the relevant Bid Number
must be deposited in the Tender box at ground floor, Inkosi Langalibalele Municipality, Victoria Street,
Estcourt, 3310 by not later than 05 September 2023 at 11h00 a.m. where they will be opened and registered
in public.
The Inkosi Langalibalele Municipality subscribes to the Preferential Procurement Regulations, pertaining to
the preferential procurement policy framework act (PPPFA) principles whereby a tenderer’s submission will
be evaluated according to the sum of the award of points in respect of the tender value and the specific goals
status of the tenderer. The tender will be evaluated on 80/20 or 90/10 as per the PPPFA Regulations 2022
and shall be based on pre-qualification and functionality. Bidders are required to submit a Company Profile
accompanied by the company’s CSD (Central Supplier Database) Report, CIPC Documents, Certified
Identity Documents of all Directors, Valid Tax Clearance Certificate and PIN from the Receiver of Revenue,
Rates and Taxes Statement obtainable from the Local Municipality, alternatively, Valid Lease Agreement
together with the Statement of Account/Letter from the Landlord confirming that payments are made in
accordance with the Lease Agreement. Please note that the onus is upon the tenderer to ensure that the
Tax matters are always up to date.
Service providers operating in exempted areas shall submit an exemption letter obtainable from a
Local Municipality.
Technical enquiries shall be directed to:
Planning Department – Mr F Shaik on 036 342 7800 (fairoz@ilm.gov.za )

SCM Compliance enquiries shall be directed to - Mr S Memela on 036 342 7800 (majiki@ilm.gov.za )
Notice: 37/23
The INKOSI LANGALIBALELE Municipality does not bind itself to accept the lowest or any bid and reserves
the right to accept a bid in whole or any part. The municipality further reserves the right not to award this
bid.
MR S.B. MTHEMBU
MUNICIPAL MANAGER
NOTE TO BIDDERS ON BID CONDITIONS:
• The Supply Chain Management Policy of Inkosi Langalibalele Municipality will apply. The
Council reserves the right not to accept the lowest bid or any bid and reserves the right to
accept the whole or part of the bid, or to reject all bids and cancel the notice to bid;
• Bids that are submitted late, incomplete, unsigned or by facsimile, electronically or not
completed in black ink will be rejected and not accepted for further evaluation;
• Members or Directors of Companies or Service Providers who are state employees are
not allowed to bid or quote;
• Proposals may be submitted for any category that is believed to a game changer, major
enabler and major needs (labour intensive). They must further include as much
information as possible that is considered sufficient to assist the evaluation of the
proposal;
• Proposals must clearly indicate a comprehensive response to the elements of the

evaluation matrix and must clearly indicate the project plan and milestones;
• Where an entity forms a joint venture or a consortium with (an) other entities(y), the
parties to this agreement must express in the bid proposal what aspect of the scope of
work each party would be adding value to and what percentage each party will receive in
terms of the proceeds flowing from any assignment;
• Unsuccessful bidders will be informed of the tender outcome through the Municipal
website. Aggrieved unsuccessful bidders will be allowed to lodge, within fourteen (14) days
of the decision or action, a written objection or complaint to the Office of the Municipal
Manager through email, or fax number. Complaints or objections received after fourteen
(14) days of the date of the notice will not be entertained;
• Inkosi Langalibalele Municipality shall enter into a lease agreement with the successful
bidder; and
• Bids submitted are to be valid for a period of 120 days.

BID DOCUMENT

ERF 1233 ESTCOURT
CONDITIONS OF THE BID

BID NO: ILM 01/23/24: THE PROPOSED LOCAL ECONOMIC DEVELOPMENT FOR
ERF 1233 ESTCOURT
CONDITIONS OF THE BID
A. GENERAL
1. Bid documents must be completed in black ink and prices must include VAT.
2. All pages and annexures must be initialed / sign in full signature where required.
• The lowest or any bid will not necessarily be accepted and Inkosi Langalibalele Local
Municipality reserves the right to accept the whole or any part of a bid or to reject any or all
the bid without stating the reasons thereof.
3. No bid will be accepted by fax or e-mail.
4. Bids are to remain open for acceptance for a period of one-hundred and twenty (120) days
from the date they are lodged and may be accepted at any time during the said period of
one hundred and twenty (120) days.
5. All prices and details must be legible / readable to ensure the bid will be considered for
adjudication.
6. Full details of services offered must be supplied together with the return documents. All
additional documents returned with the bid documents must be firmly bound and marked
as “Additional” to the specific bid reference number.
7. Only bids on Inkosi Langalibalele Local Municipality official bid document will be accepted
and the original document must be returned, fully completed and signed, in the form
presented. Failure to do so will invalidate such bid.
8. Corrections may not be made by means of a correcting fluid. In the event of a
mistake having been made by the Bidder it shall be crossed out in ink and be
accompanied by a full signature at each and every alteration. The Municipality
reserves the right to reject the bid if corrections are not made in accordance with
the above.
9. Should it be considered necessary by the bidder that officials of Inkosi Langalibalele Local
Municipality should proceed to other centres for inspection purposes, such costs shall be
for the account of the bidder.
10. This contract will be governed by Inkosi Langalibalele Local Municipality “Conditions of the
Bid” only and not any conditions supplied by the bidder.
11. The bidder must submit a comprehensive company profile, for example the founding
company statements, as well as detailed exposition of previous work done.
12. If items are not bid for a line must be drawn through the space in pen.
13. Only bids received by the given time on the given closing date in the bid box will be
considered.
B. DEMONSTRATIONS AND INSPECTIONS
1. All bidders must be prepared to demonstrate where required, free of charge and obligation,
at the Inkosi Langalibalele Local Municipality or any other area within the boundary of the
Inkosi Langalibalele Local Municipality, any services offered in this bid.
2. Where officials are required to attend demonstrations or inspections outside the boundary
of the Inkosi Langalibalele Local Municipality Area, all costs to attend such demonstration
must be borne by the bidder
BID DOCUMENT

ERF 1233 ESTCOURT
GENERAL CONDITIONS OF CONTRACT

BID NO: ILM 01/23/24 THE PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

ERF 1233
GENERAL CONDITIONS OF CONTRACT
TABLE OF CLAUSES
1. Definitions
2. Application
3. General
4. Standards
5. Use of contract documents and information inspection
6. Patent Rights
7. Performance security
8. Inspections, tests and analyses
9. Packing
10. Delivery and documents
11. Insurance
12. Transportation
13. Incidental Services
14. Spare parts
15. Warranty
16. Payment
17. Prices
18. Variation orders
19. Assignment
20. Subcontracts
21. Delays in the supplier’s performance
22. Penalties
23. Termination for default
24. Anti-dumping and countervailing duties and rights
25. Force Majeure
26. Termination for insolvency
27. Settlement of Disputes
28. Limitation of Liability
29. Governing language
30. Applicable law
31. Notices
32. Taxes and duties
33. Transfer of contracts
34. Amendments of contracts
35. Prohibition of restrictive practices
General Conditions of Contract
1. Definitions
The following terms shall be interpreted as indicated:
1.1. “Closing time” means the date and hour specified in the bidding documents for the receipt
of bids.
1.2. “Contract” means the written agreement entered into between the purchaser and the
supplier, as recorded in the contract form signed by the parties, including all
attachments and appendices thereto and all documents incorporated by reference
therein.
1.3. “Contract price” means the price payable to the supplier under the contract for the full and
proper performance of his contractual obligations.
1.4. “Corrupt practice” means the offering, giving, receiving, or soliciting of anything of value
to influence the action of a public official in the procurement process or in contract
execution.
1.5. "Countervailing duties" are imposed in cases where an enterprise abroad is subsidized
by its government and encouraged to market its products internationally.
1.6. “Country of origin” means the place where the goods were mined, grown or produced or
from which the services are supplied. Goods are produced when, through
manufacturing, processing or substantial and major assembly of components, a
commercially recognized new product results that is substantially different in basic
characteristics or in purpose or utility from its components.
1.7. “Day” means calendar day.
1.8. “Delivery” means delivery in compliance of the conditions of the contract or order.
1.9. “Delivery ex stock” means immediate delivery directly from stock actually on hand.
1.10. “Delivery into consignees store or to his site” means delivered and unloaded in the
specified store or depot or on the specified site in compliance with the conditions of the
contract or order, the supplier bearing all risks and charges involved until the goods
are so delivered and a valid receipt is obtained.
1.11. "Dumping" occurs when a private enterprise abroad market its goods on own initiative
in the RSA at lower prices than that of the country of origin and which have the potential
to harm the local industries in the RSA.
1.12. ”Force majeure” means an event beyond the control of the supplier and not involving
the supplier’s fault or negligence and not foreseeable. Such events may include, but is
not restricted to, acts of the purchaser in its sovereign capacity, wars or revolutions,
fires, floods, epidemics, quarantine restrictions and freight embargoes.
1.13. “Fraudulent practice” means a misrepresentation of facts in order to influence a

procurement process or the execution of a contract to the detriment of any bidder, and
includes collusive practice among bidders (prior to or after bid submission) designed
to establish bid prices at artificial non-competitive levels and to deprive the bidder of
the benefits of free and open competition.
1.14. “GCC” means the General Conditions of Contract.

1.15. “Goods” means all of the equipment, machinery, and/or other materials that the
supplier is required to supply to the purchaser under the contract.
1.16. Supply to the purchaser under contract.
1.17. “Imported content” means that portion of the bidding price represented by the cost
of components, parts or materials which have been or are still to be imported (whether
by the supplier or his subcontractors) and which costs are inclusive of the costs abroad,
plus freight and other direct importation costs such as landing costs, dock dues, import
duty, sales duty or other similar tax or duty at the South African place of entry as well
as transportation and handling charges to the factory in the Republic where the goods
covered by the bid will be manufactured.
1.18. “Local content” means that portion of the bidding price, which is not included in the
imported content provided that local manufacture does take place.
1.19. “Manufacture” means the production of products in a factory using labor, materials,
components and machinery and includes other related value-adding activities.
1.20. “Order” means an official written order issued for the supply of goods or works or the
rendering of a service.
1.21. “Project site,” where applicable, means the place indicated in bidding documents.
1.22. “Purchaser” means the organization or service provider purchasing the goods.
1.23. “Republic” means the Republic of South Africa.
1.24. “SCC” means the Special Conditions of Contract.
1.25. “Services” means those functional services ancillary to the supply of the goods, such
as transportation and any other incidental services, such as installation,
commissioning, provision of technical assistance, training, catering, gardening,
security, maintenance and other such obligations of the supplier covered under the
contract.
1.26. “Supplier” means the service provider or organization supplying, maintaining and/or
administering the required and specified service(s).
1.27. “Tort” means in breach of contract.
1.28. “Turnkey” means a procurement process where one Consultant assumes total
responsibility for all aspects of the project and delivers the full end product / service
required by the contract.
1.29. “Written” or “in writing” means hand-written in ink or any form of electronic or
mechanical writing.
2. Application
2.1. These general conditions are applicable to all bids, contracts and orders including bids for
functional and professional services (excluding professional services related to the
building and construction industry), sales, hiring, letting and the granting or acquiring
of rights, but excluding immovable property, unless otherwise indicated in the bidding
documents.
2.2. Where applicable, special conditions of contract are also laid down to cover specific goods,
services or works.
2.3. Where such special conditions of contract are in conflict with these general conditions, the
special conditions shall apply.
3. General
3.1. Unless otherwise indicated in the bidding documents, the purchaser shall not be liable for
any expense incurred in the preparation and submission of a bid. Where applicable a
nonrefundable fee for documents may be charged.
3.2. Invitations to bid are usually published in locally distributed news media and on the
municipality/municipal entity website.
4. Standards
4.1. The goods supplied shall conform to the standards mentioned in the bidding documents
and specifications.
5. Use of contract documents and information
5.1. The supplier shall not, without the purchaser’s prior written consent, disclose the contract,
or any provision thereof, or any specification, plan, drawing, pattern, sample, or
information furnished by or on behalf of the purchaser in connection therewith, to any
person other than a person employed by the supplier in the performance of the
contract. Disclosure to any such employed person shall be made in confidence and
shall extend only so far as may be necessary for purposes of such performance.
5.2. The supplier shall not, without the purchaser’s prior written consent, make use of any
document or information mentioned in GCC clause 5.1 except for purposes of
performing the contract.
5.3. Any document, other than the contract itself mentioned in GCC clause 5.1 shall remain the
property of the purchaser and shall be returned (all copies) to the purchaser on
completion of the supplier’s performance under the contract if so required by the
purchaser.
5.4. The supplier shall permit the purchaser to inspect the supplier’s records relating to the
performance of the supplier and to have them audited by auditors appointed by the
purchaser, if so required by the purchaser.
6. Patent Rights
6.1. The supplier shall indemnify the purchaser against all third-party claims of infringement of
patent, trademark, or industrial design rights arising from use of the goods or any part
thereof by the purchaser.
6.2. When a supplier developed documentation / projects for the municipality / municipal entity,
the intellectual, copy and patent rights or ownership of such documents or projects will
vest in the municipality / municipal entity.
7. Performance security
7.1. Within thirty (30) days of receipt of the notification of contract award, the successful bidder
shall furnish to the purchaser the performance security of the amount specified in SCC.
7.2. The proceeds of the performance security shall be payable to the purchaser as
compensation for any loss resulting from the supplier’s failure to complete his
obligations under the contract.
7.3. The performance security shall be denominated in the currency of the contract, or in a freely
convertible currency acceptable to the purchaser and shall be in one of the following
forms:
(a) a bank guarantee or an irrevocable letter of credit issued by a reputable bank
located in the purchaser’s country or abroad, acceptable to the purchaser, in the
form provided in the bidding documents or another form acceptable to the
purchaser; or
(b) a cashier’s or certified cheque
7.4. The performance security will be discharged by the purchaser and returned to the supplier
not later than thirty (30) days following the date of completion of the supplier’s performance
obligations under the contract, including any warranty obligations, unless otherwise specified.
8. Inspections, tests and analysis
8.1. All per-bidding testing will be for the account of the bidder.
8.2. If it is a bid condition that goods to be produced or services to be rendered should at any
stage be subject to inspections, tests and analyses, the bidder or contractor’s premises
shall be open, at all reasonable hours, for inspection by a representative of the
purchaser or organization acting on behalf of the purchaser.
8.3. If there are no inspection requirements indicated in the bidding documents and no mention
is made in the contract, but during the contract period it is decided that inspections
shall be carried out, the purchaser shall itself make the necessary arrangements,
including payment arrangements with the testing authority concerned.
8.4. If the inspections, tests and analyses referred to in clauses 8.2 and 8.3 show the goods to
be in accordance with the contract requirements, the cost of the inspections, tests and
analyses shall be defrayed by the purchaser.
8.5. Where the goods or services referred to in clauses 8.2 and 8.3 do not comply with the
contract requirements, irrespective of whether such goods or services are accepted or
not, the cost in connection with these inspections, tests or analyses shall be defrayed
by the supplier.
8.6. Goods and services, which are, referred to in clauses 8.2 and 8.3 and which do not comply
with the contract requirements may be rejected.
8.7. Any contract goods may on or after delivery be inspected, tested or analyzed and may be
rejected if found not to comply with the requirements of the contract. Such rejected
goods shall be held at the cost and risk of the supplier who shall, when called upon,
remove them immediately at his own cost and forthwith substitute them with goods,
which do comply with the requirements of the contract. Failing such removal the
rejected goods shall be returned at the suppliers cost and risk. Should the supplier fail
to provide the substitute goods forthwith, the purchaser may, without giving the supplier
further opportunity to substitute the rejected goods, purchase such goods as may be
necessary at the expense of the supplier.
8.8. The provisions of clauses 8.4 to 8.7 shall not prejudice the right of the purchaser to cancel
the contract on account of a breach of the conditions thereof, or to act in terms of
Clause 22 of GCC.
9. Packing
9.1. The supplier shall provide such packing of the goods as is required to prevent their damage
or deterioration during transit to their final destination, as indicated in the contract. The
packing shall be sufficient to withstand, without limitation, rough handling during transit
and exposure to extreme temperatures, salt and precipitation during transit, and open
storage. Packing, case size and weights shall take into consideration, where
appropriate, the remoteness of the goods’ final destination and the absence of heavy
handling facilities at all points in transit.
9.2. The packing, marking, and documentation within and outside the packages shall comply
strictly with such special requirements as shall be expressly provided for in the contract,
including additional requirements, if any, and in any subsequent instructions ordered
by the purchaser.
10. Delivery and documents
10.1. Delivery of the goods and arrangements for shipping and clearance obligations shall
be made by the supplier in accordance with the terms specified in the contract.
11. Insurance
11.1. The goods or services supplied under the contract shall be fully insured in a freely
convertible currency against loss or damage incidental to manufacture or acquisition,
transportation, storage and delivery in the manner specified.
12. Transportation
12.1. Should a price other than an all-inclusive delivered price be required, this shall be
specified.
13. Incidental Services
13.1. The supplier may be required to provide any or all of the following services, including
additional services, if any:
(a) performance or supervision of on-site assembly and/or commissioning of the

supplied goods;
(b) furnishing of tools required for assembly and/or maintenance of the supplied
goods;
(c) furnishing of a detailed operations and maintenance manual for each appropriate
unit of the supplied goods;
(d) performance or supervision or maintenance and/or repair of the supplied goods,
for a period of time agreed by the parties, provided that this service shall not relieve
the supplier of any warranty obligations under this contract; and
(e) training of the purchaser’s personnel, at the supplier’s plant and/or on-site, in
assembly, start-up, operation, maintenance, and/or repair of the supplied goods.
13.2. Prices charged by the supplier for incidental services, if not included in the contract
price for the goods, shall be agreed upon in advance by the parties and shall not
exceed the prevailing rates charged to other parties by the supplier for similar services.
14. Spare parts
14.1. As specified, the supplier may be required to provide any or all of the following
materials, notifications, and information pertaining to spare parts manufactured or
distributed by the supplier:
(a) such spare parts as the purchaser may elect to purchase from the supplier,
provided that this election shall not relieve the supplier of any warranty obligations
under the contract; and
(b) in the event of termination of production of the spare parts:
(i) advance notification to the purchaser of the pending termination, in sufficient

time to permit the purchaser to procure needed requirements; and
(ii) following such termination, furnishing at no cost to the purchaser, the
blueprints, drawings, and specifications of the spare parts, if requested.
15. Warranty
15.1. The supplier warrants that the goods supplied under the contract are new, unused, of
the most recent or current models and that they incorporate all recent improvements
in design and materials unless provided otherwise in the contract. The supplier further
warrants that all goods supplied under this contract shall have no defect, arising from
design, materials, or workmanship (except when the design and/or material is required
by the purchaser’s specifications) or from any act or omission of the supplier, that may
develop under normal use of the supplied goods in the conditions prevailing in the
country of final destination.
15.2. This warranty shall remain valid for twelve (12) months after the goods, or any portion
thereof as the case may be, have been delivered to and accepted at the final
destination indicated in the contract, or for eighteen (18) months after the date of
shipment from the port or place of loading in the source country, whichever period
concludes earlier, unless specified otherwise.
15.3. The purchaser shall promptly notify the supplier in writing of any claims arising under
this warranty.
15.4. Upon receipt of such notice, the supplier shall, within the period specified and with all
reasonable speed, repair or replace the defective goods or parts thereof, without costs
to the purchaser.
15.5. If the supplier, having been notified, fails to remedy the defect(s) within the period
specified, the purchaser may proceed to take such remedial action as may be
necessary, at the supplier’s risk and expense and without prejudice to any other rights
which the purchaser may have against the supplier under the contract.
16. Payment
16.1. The method and conditions of payment to be made to the supplier or purchaser under
this contract shall be specified.
16.2. The supplier shall furnish the purchaser with an invoice accompanied by a copy of the
delivery note (where applicable) and upon fulfillment of other obligations stipulated in
the contract.
16.3. Payments shall be made promptly by the purchaser or supplier, but in no case later
than thirty (30) days after submission of an invoice or claim.
16.4. Payment will be made in Rand unless otherwise stipulated.
17. Prices
17.1. Prices charged by the supplier delivered and services performed under the contract
shall not vary from the prices quoted by the supplier in his bid, with the exception of
any price adjustments authorized or in the purchaser’s request for bid validity
extension, as the case may be.
18. Variation orders
18.1. In cases where the estimated value of the envisaged changes in purchase does not
vary more than 15% of the total value of the original contract, the contractor may be
instructed to deliver the goods or render the services as such. In cases of measurable
quantities, the contractor may be approached to reduce the unit price, and such offers
may be accepted provided that there is no escalation in price.
19. Assignment
19.1. The supplier shall not assign, in whole or in part, its obligations to perform under the
contract, except with the purchaser’s prior written consent.
20. Subcontracts
20.1. The supplier shall notify the purchaser in writing of all subcontracts awarded under this
contracts if not already specified in the bid. Such notification, in the original bid or later,
shall not relieve the supplier from any liability or obligation under the contract.
21. Delays in the supplier’s performance
21.1. Delivery of the goods and performance of services shall be made by the supplier in
accordance with the time schedule prescribed by the purchaser in the contract.
21.2. If at any time during performance of the contract, the supplier or its subcontractor(s)
should encounter conditions impeding timely delivery of the goods and performance of
services, the supplier shall promptly notify the purchaser in writing of the fact of the
delay, its likely duration and its cause(s). As soon as practicable after receipt of the
supplier’s notice, the purchaser shall evaluate the situation and may at his discretion
extend the supplier’s time for performance, with or without the imposition of penalties,
in which case the extension shall be ratified by the parties by amendment of contract.
21.3. The right is reserved to procure outside of the contract small quantities or to have minor
essential services executed if an emergency arises, the supplier’s point of supply is not
situated at or near the place where the goods are required, or the supplier’s services
are not readily available.
21.4. Except as provided under GCC Clause 25, a delay by the supplier in the performance
of its delivery obligations shall render the supplier liable to the imposition of penalties,
pursuant to GCC Clause 22, unless an extension of time is agreed upon pursuant to
GCC Clause 22.2 without the application of penalties.
21.5. Upon any delay beyond the delivery period in the case of a goods contract, the
purchaser shall, without canceling the contract, be entitled to purchase goods of a
similar quality and up to the same quantity in substitution of the goods not supplied in
conformity with the contract and to return any goods delivered later at the supplier’s
expense and risk, or to cancel the contract and buy such goods as may be required to
complete the contract and without prejudice to his other rights, be entitled to claim
damages from the supplier.
22. Penalties
22.1. Subject to GCC Clause 25, if the supplier fails to deliver any or all of the goods or to
perform the services within the period(s) specified in the contract, the purchaser shall,
without prejudice to its other remedies under the contract, deduct from the contract
price, as a penalty, a sum calculated on the delivered price of the delayed goods or
unperformed services using the current prime interest rate calculated for each day of
the delay until actual delivery or performance. The purchaser may also consider
termination of the contract pursuant to GCC Clause 23.
23. Termination for default
23.1. The purchaser, without prejudice to any other remedy for breach of contract, by written
notice of default sent to the supplier, may terminate this contract in whole or in part:
(a) if the supplier fails to deliver any or all of the goods within the period(s) specified
in the contract, or within any extension thereof granted by the purchaser pursuant
to GCC Clause 21.2;
(b) if the supplier fails to perform any other obligation(s) under the contract; or
(c) if the supplier, in the judgment of the purchaser, has engaged in corrupt or
fraudulent practices in competing for or in executing the contract.
23.2. In the event the purchaser terminates the contract in whole or in part, the purchaser
may procure, upon such terms and in such manner, as it deems appropriate, goods,
works or services similar to those undelivered, and the supplier shall be liable to the
purchaser for any excess costs for such similar goods, works or services. However,
the supplier shall continue performance of the contract to the extent not terminated.
24. Anti dumping and countervailing duties and rights
24.1. When, after the date of bid, provisional payments are required, or anti-dumping or
countervailing duties are imposed, or the amount of a provisional payment or anti-
dumping or countervailing right is increased in respect of any dumped or subsidized
import, the State is not liable for any amount so required or imposed, or for the amount
of any such increase. When, after the said date, such a provisional payment is no
longer required or any such anti-dumping or countervailing right is abolished, or where
the amount of such provisional payment or any such right is reduced, any such
favorable difference shall on demand be paid forthwith by the supplier to the purchaser
or the purchaser may deduct such amounts from moneys (if any) which may otherwise
be due to the supplier in regard to goods or services which he delivered or rendered,
or is to deliver or render in terms of the contract or any other contract or any other
amount which may be due to him.
25. Force Majeure
25.1. Notwithstanding the provisions of GCC Clauses 22 and 23, the supplier shall not be
liable for forfeiture of its performance security, damages, or termination for default if
and to the extent that his delay in performance or other failure to perform his obligations
under the contract is the result of an event of force majeure.
25.2. If a force majeure situation arises, the supplier shall promptly notify the purchaser in
writing of such condition and the cause thereof. Unless otherwise directed by the
purchaser in writing, the supplier shall continue to perform its obligations under the
contract as far as is reasonably practical, and shall seek all reasonable alternative
means for performance not prevented by the force majeure event.
26. Termination for insolvency
26.1. The purchaser may at any time terminate the contract by giving written notice to the
supplier if the supplier becomes bankrupt or otherwise insolvent. In this event,
termination will be without compensation to the supplier, provided that such termination
will not prejudice or affect any right of action or remedy, which has accrued or will
accrue thereafter to the purchaser.
27. Settlement of Disputes
27.1. If any dispute or difference of any kind whatsoever arises between the purchaser and
the supplier in connection with or arising out of the contract, the parties shall make
every effort to resolve amicably such dispute or difference by mutual consultation.
27.2. If, after thirty (30) days, the parties have failed to resolve their dispute or difference by
such mutual consultation, then either the purchaser or the supplier may give notice to
the other party of his intention to commence with mediation. No mediation in respect
of this matter may be commenced unless such notice is given to the other party.
27.3. Should it not be possible to settle a dispute by means of mediation, it may be settled
in a South African court of law.
27.4. Notwithstanding any reference to mediation and/or court proceedings herein,
(a) the parties shall continue to perform their respective obligations under the contract
unless they otherwise agree; and
(b) the purchaser shall pay the supplier any monies due the supplier for goods
delivered and / or services rendered according to the prescripts of the contract.
28. Limitation of Liability
28.1. Except in cases of criminal negligence or willful misconduct, and in the case of
infringement pursuant to Clause 6;
(a) the supplier shall not be liable to the purchaser, whether in contract, tort, or
otherwise, for any indirect or consequential loss or damage, loss of use, loss of
production, or loss of profits or interest costs, provided that this exclusion shall not
apply to any obligation of the supplier to pay penalties and/or damages to the
purchaser; and
(b) the aggregate liability of the supplier to the purchaser, whether under the contract,
in tort or otherwise, shall not exceed the total contract price, provided that this
limitation shall not apply to the cost of repairing or replacing defective equipment.
29. Governing language
29.1. The contract shall be written in English. All correspondence and other documents
pertaining to the contract that is exchanged by the parties shall also be written in
English.
30. Applicable law
30.1. The contract shall be interpreted in accordance with South African laws, unless
otherwise specified.
31. Notices
31.1. Every written acceptance of a bid shall be posted to the supplier concerned by
registered or certified mail and any other notice to him shall be posted by ordinary mail
to the address furnished in his bid or to the address notified later by him in writing and
such posting shall be deemed to be proper service of such notice
31.2. The time mentioned in the contract documents for performing any act after such
aforesaid notice has been given, shall be reckoned from the date of posting of such
notice.
32. Taxes and duties
32.1. A foreign supplier shall be entirely responsible for all taxes, stamp duties, license fees,
and other such levies imposed outside the purchaser’s country.
32.2. A local supplier shall be entirely responsible for all taxes, duties, license fees, etc.,
incurred until delivery of the contracted goods to the purchaser.
32.3. No contract shall be concluded with any bidder whose tax matters are not in order.
Prior to the award of a bid SARS must have certified that the tax matters of the
preferred bidder are in order.
32.4. No contract shall be concluded with any bidder whose municipal rates and taxes and
municipal services charges are in arrears.
33. Transfer of contracts
33.1. The contractor shall not abandon, transfer, cede assign or sublet a contract or part
thereof without the written permission of the purchaser.
34. Amendment of contracts

34.1. No agreement to amend or vary a contract or order or the conditions, stipulations or
provisions thereof shall be valid and of any force unless such agreement to amend or
vary is entered into in writing and signed by the contracting parties. Any waiver of the
requirement that the agreement to amend or vary shall be in writing, shall also be in
writing.
35. Prohibition of restrictive practices
35.1 In terms of section 4 (1) (b) (iii) of the Competition Act No. 89 of 1998, as amended, an
agreement between, or concerted practice by, firms, or a decision by an association of
firms, is prohibited if it is between parties in a horizontal relationship and if a bidder(s)
is / are or a contractor(s) was / were involved in collusive bidding.
35.2 If a bidder(s) or contractor(s) based on reasonable grounds or evidence obtained by

the purchaser has / have engaged in the restrictive practice referred to above, the
purchaser may refer the matter to the Competition Commission for investigation and
possible imposition of administrative penalties as contemplated in section 59 of the
Competition Act No 89 0f 1998.
35.3 If a bidder(s) or contractor(s) has / have been found guilty by the Competition
Commission of the restrictive practice referred to above, the purchaser may, in addition
and without prejudice to any other remedy provided for, invalidate the bid(s) for such
item(s) offered, and / or terminate the contract in whole or part, and / or restrict the
bidder(s) or contractor(s) from conducting business with the public sector for a period
not exceeding ten (10) years and / or claim damages from the bidder(s) or contractor(s)
concerned.
BID DOCUMENT

ERF 1233 ESTCOURT
SPECIFICATION
BID NO: ILM 01/23/24: THE PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

ERF 1233 ESTCOURT
SPECIFICATION
1. The intention for lease of this property is for a mixed use development and bidders
must submit their proposals for Council’s consideration.
2. The period whether short term or long terms lease will be dependent on the
proposals to be received.
3. The rental payable will also be dependent on the proposals submitted.
4. Detailed timeframes to be attached as part of the proposal.
5. Proposed operational plan to be submitted
6. Social and Public Benefit including job creation strategy must form part of the
proposal.
7. Proof of excess to funding to undertake the proposed development.
8. Capacity and Professional team details to be included
9. Intended investment value.
10. Artistic Impression to be included
11. It’s a requirement for bidders to do presentation to the relevant bid committees of
Council.
BID DOCUMENT

ERF 1233 ESTCOURT
SPECIAL CONDITIONS OF CONTRACT


ERF 1233 ESTCOURT
SPECIAL CONDITIONS OF CONTRACT
1. DURATION OF CONTRACT
The contract is envisaged to subsist for a period DEPENDING on the successful bidder’s
proposal from the date of confirmation of appointment of the Service Provider. The service
provider will be appointed and a Service Level Agreement (SLA) will be entered to between
the service provider and Inkosi Langalibalele Local Municipality. The contract will be
reviewed annually and may be cancelled at any stage based on the performance of the
service provider. In the event where the Service Level Agreement (SLA) is cancelled on
basis of performance of the service provider, the service provider may have to pay Inkosi
Langalibalele Local Municipality a significant amount of cancellation determined by Inkosi
Langalibalele Local Municipality.
2. SERVICE LEVEL AGREEMENT
(2.1) A service level agreement will be entered into with the successful bidder.
(2.2) Negotiations in respect of the service level agreement must be finalised within
fourteen (14) calendar days of receipt of the letter of acceptance by the successful
bidder."
(2.3) Service level agreement entered into with the successful bidder will capture the
time frames or performance applying to this contract.
(2.4) Should no consensus be reached within fourteen (14) calendar days of finalizing
the Service Level Agreement (SLA), the Municipality will be entitled to:
i) cancel it's acceptance of the bid, or

ii) extend the negotiation period without prejudice to any of it's other rights in
terms of this contract or common law.
3. PENALTIES
In the event of non-compliance with the agreed time frames, Penalty Fees to the amount
of R 5 000.00 (Five Thousand Rands) per day will be deducted in lieu of each day the
successful bidder fails to render its service in respect of the project. Penalties will be
applied for failure to comply with the conditions attached to this bid and Service Level
Agreement. These penalties are more fully described in the Service Level Agreement.
4. BID VALIDITY
This bid shall not be withdrawn during a period of one hundred and twenty (120) days from
the date on which it is to be lodged and it may be accepted at any time during that period.
5. BID COMPLIANCE
The Bid must comply with the following:

• This bid or part thereof may not be ceded.
8. MEETINGS
Progress meetings will be held as and when required with the successful bidders.
9. PROGRAMME
It is compulsory to submit a programme of confirmed activities to be undertaken within
fourteen (14) days after the award of the bid, and bi-monthly progress report.
10. REPORTING
The service provider is required to report to the client on a monthly basis on the progress
made on the project.
11. MANDATORY OBJECTION PERIOD
All administrative actions and decisions taken by INKOSI LANGALIBALELE

MUNICIPALITY through its officials may become subject to an appeals process. As such,
in terms of Section 62 of the Municipal Systems Act (Act No. 32 of 2000), a period of
fourteen (14) days will be set aside to allow for the submission of appeals against the
process of making the award to a particular bidder by any interested party. Except in
scenarios where the decision of a duly appeal panel sets aside the appointment will then
be confirmed by the INKOSI LANGALIBALELE Local Municipality in writing.
12. SUPREMACY OF SPECIAL CONDITIONS
The provisions of this section will take precedence over any other condition, term or
stipulation in this document.
In the event of any contradiction with any other section in the contract (including Service
Level Agreement) the provisions of this section will take precedence.
BID DOCUMENT

ERF 1233 ESTCOURT
FORM OF BID

ERF 1233 ESTCOURT
FORM OF BID
DEPARTMENT:___________________________________________________________
FORM OF BID: _________________________________________________________________
To: Municipal Manager

P O Box 15
Estcourt
3310
1. I/we hereby bid to supply and deliver the goods as and when ordered by the Head
of Department at prices quoted and/or to render all of any of the services described
in the attached documents to the Inkosi Langalibalele Local Municipality on the
terms and conditions and in accordance with the specifications stipulated in the bid
documents (and which shall be taken as part of, and incorporated into, this bid) at
prices and on the terms regarding time for delivery and/or execution inserted therein.
2. I/we agree that:
1.1 The offer herein shall remain binding upon me/us and open for acceptance by
the Inkosi Langalibalele during the validity period of 120 days indicated and
calculated from the closing time of bid;
1.2 This bid and its acceptance shall be subject to the terms and conditions
contained in the Preference Points Claim Form;
2.3 If I/we withdraw my/our bid within the period for which I/we have agreed that the
bid shall remain open for acceptance, or fail to fulfill the contract when called upon
to do so, the Council may, without prejudice to its other rights, agree to the
withdrawal of my/our bid or cancel the contract that may have been entered into
between me/us and the Council and I/we will then pay to the Council any additional
expense incurred by the Council having either to accept any less favorable bid or, if
fresh bids have to be invited, the additional expenditure incurred by the invitation of
fresh bids and by the subsequent acceptance of any less favorable bid. The Council
shall also have the right to recover such additional expenditure by set-off against
monies which may be due to become due to me/us under this or any other bid or
contract and pending the ascertainment of the amount of such additional
expenditure to retain such monies, guarantee or deposit as security for any loss the
Council may sustain by reasons of my/our default;
2.4 If my/our bid is accepted, the acceptance may be communicated to me/us by

letter or order by ordinary post or registered post and that the SA Post Office Ltd
shall be regarded as my/our agent, and delivery of such acceptance to SA Post
Office Ltd shall be treated as delivery to me/us;
2.5 I/we understand that the Council is not bound to accept the lowest or any bid
and also reserves the right to divide the contract between one or more bids;
2.6 this bid, together with Council’s written acceptance thereof, shall constitute a
binding contract between us that this contract or part thereof shall not be ceded;
2.7 the law of the Republic of South Africa shall govern the contract created by the
acceptance of my/our bid and that I/we choose Domicilium citandi et executandi
in the Republic at (full address of this place):
_____________________________________________________________
_____________________________________________________________
4. I/we furthermore confirm that I/we have satisfied myself/ourselves as to the

correctness and validity of my/our bid, that the price(s) and rate(s) quoted cover all the
work/item(s) specified in the bid documents and that the price(s) and rate(s) cover all
my/our obligations under a resulting contract and that I/we accept that any mistakes
regarding price(s) and calculations will be at my/our risk.
5. I/we hereby accept full responsibility for the proper execution and fulfillment of all
obligations and conditions devolving on me/us under the agreement as the Principal(s)
liable for the due fulfillment of this contract.
5. I/we agree that any action arising from this contract may in all respects be instituted
against me/us and I/we hereby undertake to satisfy fully any sentence of judgment which
may be pronounced against me/us as a result of such action.
6. Are you duly authorized to sign the bid? YES NO
5. Has the Declaration of Interest been duly completed and included with the other
bid forms?
YES NO
*Delete whichever is not applicable

SIGNATURE: ______________________________________________________
DATE: ______________________________________________________
CAPACITY AND PARTICULARS OF THE AUTHORITY UNDER WHICH THIS BID IS

SIGNED:
NAME OF BIDDER: ________________________________________________
POSTAL ADDRESS: _________________________________________________
____________________________________________________
TELEPHONE NUMBERS: _______________________________________________
FACSIMILE NUMBERS: ___________________________________________________
BID NUMBER: ____________________________________________________
NAME OF CONTACT PERSON: ___________________________________________
Refer to the under-mentioned important Conditions:
IMPORTANT CONDITIONS
1. Failure on the part of the bidder to sign this bid form and thus to acknowledge
and accept the conditions in writing or to complete the attached forms, questionnaire and
specifications in all respects, may invalidate the bid.
2. Bids should be submitted on the official forms and should not be qualified by the
bidders own conditions of bid. Failure to comply with these requirements or to renounce
specifically the bidders own conditions of bid, when called upon to do so, may invalidate
the bid.
3. If any of the conditions of this bid form are in conflict with any special conditions,
stipulations or provisions incorporated in the bid, such special conditions, stipulations or
provisions shall apply.
BID DOCUMENT

ERF 1233 ESTCOURT
MBD FORMS
MBD 2
TAX CLEARANCE CERTFICATE REQUIREMENTS
It is a condition of bid that the taxes of the successful bidder must be

in order, or that satisfactory arrangements have been made with South
African Revenue Service (SARS) to meet the bidder’s tax obligations.
2.1 In order to meet this requirement bidders are required to complete in full the
attached form TCC 001“Application for a Tax Clearance Certificate” and submit it to
any SARS branch office nationally. The Tax Clearance Certificate Requirements are
also applicable to foreign bidders / individuals who wish to submit bids.
2.2 SARS will then furnish the bidder with a Tax Clearance Certificate that will be valid
for a period of 1 (one) year from the date of approval.
3. The valid Tax Clearance Certificate must be submitted together with the bid. Failure
to submit the original and valid Tax Clearance Certificate will result in the
invalidation of the bid. Certified copies of the Tax Clearance Certificate will not be
acceptable.
4. In bids where Consortia / Joint Ventures / Sub-contractors are involved, each party
must submit a separate Tax Clearance Certificate.
5. Copies of the TCC 001 “Application for a Tax Clearance Certificate” form are
available from any SARS branch office nationally or on the website
www.sars.gov.za.
6. Applications for the Tax Clearance Certificates may also be made via eFiling. In
order to use this provision, taxpayers will need to register with SARS as eFilers
through the website www.sars.gov.za.
MBD 4
DECLARATION OF INTEREST
1. No bid will be accepted from persons in the service of the state¹.
2. Any person, having a kinship with persons in the service of the state, including a blood
relationship, may make an offer or offers in terms of this invitation to bid. In view of possible
allegations of favouritism, should the resulting bid, or part thereof, be awarded to persons
connected with or related to persons in service of the state, it is required that the bidder or
their authorised representative declare their position relation to the evaluating/adjudicating
authority.
3 In order to give effect to the above, the following questionnaire must be completed and
submitted with the bid.
3.1 Full Name of bidder or his or her representative:……………………………………………..
3.2 Identity Number: ………………………………………………………………………………….
3.3 Position occupied in the Company (director, trustee, hareholder²):………………………..
3.4 Company Registration Number: ……………………………………………………………….
3.5 Tax Reference Number:…………………………………………………………………………
3.6 VAT Registration Number: ……………………………………………………………………
3.7 The names of all directors / trustees / shareholders members, their individual identity
Numbers and state employee numbers must be indicated in paragraph 4 below.
3.8 Are you presently in the service of the state? YES / NO
3.8.1Ifyes, furnish particulars.….……………………………………………………………
………………………………………………………………………………………..
………………………………………………………………………………………..
¹MSCM
Regulations: “in the service of the state” means to be –
(a) a member of –
(i) any municipal council;
(ii) any provincial legislature; or
(iii) the national Assembly or the national Council of provinces;
(b) a member of the board of directors of any municipal entity;

(c) an official of any municipality or municipal entity;
(d) an employee of any national or provincial department, national or provincial public entity or
constitutional institution within the meaning of the Public Finance Management Act, 1999
(Act No.1 of 1999);
(e) a member of the accounting authority of any national or provincial public entity; or
(f) an employee of Parliament or a provincial legislature.
² Shareholder” means a person who owns shares in the company and is actively involved in the
management of the company or business and exercises control over the company.
3.9Have you been in the service of the state for the past twelve months? ………YES / NO
3.9.1Ifyes, furnish particulars.………………………...…………………………
…………………………………………………………………………………………….
…………………………………………………………………………………………..
3.10 Do you have any relationship (family, friend, other) with persons
in the service of the state and who may be involved with
the evaluation and or adjudication of this bid?…………………………………YES / NO
3.10.1Ifyes, furnish particulars.

……………………………………………………………………………….
……………………………………………………………………………………………
……………………………………………………………………………………………..
3.11Are you, aware of any relationship (family, friend, other) between any other
bidder and any persons in the service of the state who may be involved with the
evaluation and or adjudication of this bid? YES / NO
3.11.1Ifyes, furnish particulars

…………………………………………………………………………………
……………………………….……............................................................
…………………………………………………………………………………
3.12Are any of the company’s directors, trustees, managers,

Principle shareholders or stakeholders in service of the state? YES / NO
3.12.1 If yes, furnish particulars.

……………………………………………………………………………….
……………………………………………………………………………….
……………………………………………………………………………….
3.13 Are any spouse, child or parent of the company’s directors Trustees, managers,
principle shareholders or stakeholders in service of the state? YES / NO
3.13.1Ifyes, furnish particulars.

……………………………………………………………………………….
……………………………………………………………………………….
……………………………………………………………………………….
3.14 Do you or any of the directors, trustees, managers, principle shareholders, or

stakeholders of this company have any interest in any other related companies or
business whether or not they are bidding for this contract. YES / NO
3.14.1 If yes, furnish particulars:

……………………………………………………………………………..
……………………………………………………………………………..
………………………………………………………………………………
4. Full details of directors / trustees / members / shareholders.
Full Name Identity Number State Employee

Number
………………………………….. ……………………………………..
Signature Date
…………………………………. …………………………………………………….
Position Name of Bidder
MBD 6.1
PREFERENCE POINTS CLAIM FORM IN TERMS OF THE PREFERENTIAL PROCUREMENT

REGULATIONS 2022
This preference form must form part of all tenders invited. It contains general information and
serves as a claim form for preference points for specific goals.
NB: BEFORE COMPLETING THIS FORM, TENDERERS MUST STUDY THE GENERAL
CONDITIONS, DEFINITIONS AND DIRECTIVES APPLICABLE IN RESPECT OF THE
TENDER AND PREFERENTIAL PROCUREMENT REGULATIONS, 2022
1. GENERAL CONDITIONS
1.1 The following preference point systems are applicable to invitations to tender:
- the 80/20 system for requirements with a Rand value of up to R50 000 000 (all
applicable taxes included); and
- the 90/10 system for requirements with a Rand value above R50 000 000 (all
applicable taxes included).
1.2 To be completed by the organ of state

(delete whichever is not applicable for this tender).
a) The applicable preference point system for this tender is the 90/10 preference point
system.
b) The applicable preference point system for this tender is the 80/20 preference point
system.
c) Either the 90/10 or 80/20 preference point system will be applicable in this tender. The
lowest/ highest acceptable tender will be used to determine the accurate system once
tenders are received.
1.3 Points for this tender (even in the case of a tender for income-generating contracts) shall
be awarded for:
(a) Price; and
(b) Specific Goals.
1.4 To be completed by the organ of state:

The maximum points for this tender are allocated as follows:
POINTS
PRICE
SPECIFIC GOALS
Total points for Price and SPECIFIC GOALS 100
1.5 Failure on the part of a tenderer to submit proof or documentation required in terms of this
tender to claim points for specific goals with the tender, will be interpreted to mean that
preference points for specific goals are not claimed.
1.6 The organ of state reserves the right to require of a tenderer, either before a tender is
adjudicated or at any time subsequently, to substantiate any claim in regard to preferences,
in any manner required by the organ of state.
2. DEFINITIONS
(a) “tender” means a written offer in the form determined by an organ of state in response to
an invitation to provide goods or services through price quotations, competitive tendering
process or any other method envisaged in legislation;
(b) “price” means an amount of money tendered for goods or services, and includes
all applicable taxes less all unconditional discounts;
(c) “rand value” means the total estimated value of a contract in Rand, calculated at the time
of bid invitation, and includes all applicable taxes;
(d) “tender for income-generating contracts” means a written offer in the form determined
by an organ of state in response to an invitation for the origination of income-generating
contracts through any method envisaged in legislation that will result in a legal agreement
between the organ of state and a third party that produces revenue for the organ of state,
and includes, but is not limited to, leasing and disposal of assets and concession contracts,
excluding direct sales and disposal of assets through public auctions; and
(e) “the Act” means the Preferential Procurement Policy Framework Act, 2000 (Act No. 5 of
2000).
3. FORMULAE FOR PROCUREMENT OF GOODS AND SERVICES

3.1. POINTS AWARDED FOR PRICE
3.1.1 THE 80/20 OR 90/10 PREFERENCE POINT SYSTEMS

A maximum of 80 or 90 points is allocated for price on the following basis:
80/20 or 90/10
𝑷𝒕−𝑷 𝒎𝒊𝒏 𝑷𝒕−𝑷 𝒎𝒊𝒏

𝑷𝒔 = 𝟖𝟎 (𝟏 − ) or 𝑷𝒔 = 𝟗𝟎 (𝟏 − )
𝑷 𝒎𝒊𝒏 𝑷 𝒎𝒊𝒏
Where
Ps = Points scored for price of tender under consideration
Pt = Price of tender under consideration
Pmin = Price of lowest acceptable tender
3.2. FORMULAE FOR DISPOSAL OR LEASING OF STATE ASSETS AND INCOME
GENERATING PROCUREMENT
3.2.1. POINTS AWARDED FOR PRICE
A maximum of 80 or 90 points is allocated for price on the following basis:
80/20 or 90/10
𝑷𝒕−𝑷 𝒎𝒂𝒙 𝑷𝒕−𝑷 𝒎𝒂𝒙

𝑷𝒔 = 𝟖𝟎 (𝟏 + ) or 𝑷𝒔 = 𝟗𝟎 (𝟏 + )
𝑷 𝒎𝒂𝒙 𝑷𝒎𝒂𝒙
Where
Ps = Points scored for price of tender under consideration
Pt = Price of tender under consideration
Pmax = Price of highest acceptable tender
4. POINTS AWARDED FOR SPECIFIC GOALS
4.1. In terms of Regulation 4(2); 5(2); 6(2) and 7(2) of the Preferential Procurement Regulations,
preference points must be awarded for specific goals stated in the tender. For the purposes
of this tender the tenderer will be allocated points based on the goals stated in table 1 below
as may be supported by proof/ documentation stated in the conditions of this tender:
4.2. In cases where organs of state intend to use Regulation 3(2) of the Regulations, which
states that, if it is unclear whether the 80/20 or 90/10 preference point system applies, an
organ of state must, in the tender documents, stipulate in the case of—
(a) an invitation for tender for income-generating contracts, that either the 80/20 or
90/10 preference point system will apply and that the highest acceptable tender
will be used to determine the applicable preference point system; or
(b) any other invitation for tender, that either the 80/20 or 90/10 preference point
system will apply and that the lowest acceptable tender will be used to determine
the applicable preference point system,
then the organ of state must indicate the points allocated for specific goals for both the
90/10 and 80/20 preference point system.
Table 1: Specific goals for the tender and points claimed are indicated per the table below.
(Note to organs of state: Where either the 90/10 or 80/20 preference point system is
applicable, corresponding points must also be indicated as such.
Note to tenderers: The tenderer must indicate how they claim points for each preference
point system.)
Number of Number of Number of

points Number of points points
points claimed claimed
allocated
allocated (90/10 (80/20
(90/10 system)
The specific goals (80/20 system)
system)
allocated points in system) (To be
(To be (To be
terms of this tender completed
completed by (To be completed
by the by the
the organ of completed
tenderer) tenderer)
state) by the organ
of state)
Financial Capacity 10 20
DECLARATION WITH REGARD TO COMPANY/FIRM
4.3. Name of company/firm…………………………………………………………………….
4.4. Company registration number: …………………………………………………………...
4.5. TYPE OF COMPANY/ FIRM
 Partnership/Joint Venture / Consortium

 One-person business/sole propriety
 Close corporation
 Public Company
 Personal Liability Company
 (Pty) Limited
 Non-Profit Company
 State Owned Company
[TICK APPLICABLE BOX]
4.6. I, the undersigned, who is duly authorised to do so on behalf of the company/firm, certify
that the points claimed, based on the specific goals as advised in the tender, qualifies the
company/ firm for the preference(s) shown and I acknowledge that:
i) The information furnished is true and correct;

ii) The preference points claimed are in accordance with the General Conditions as
indicated in paragraph 1 of this form;
iii) In the event of a contract being awarded as a result of points claimed as shown in
paragraphs 1.4 and 4.2, the contractor may be required to furnish documentary proof
to the satisfaction of the organ of state that the claims are correct;
iv) If the specific goals have been claimed or obtained on a fraudulent basis or any of the
conditions of contract have not been fulfilled, the organ of state may, in addition to
any other remedy it may have –
(a) disqualify the person from the tendering process;

(b) recover costs, losses or damages it has incurred or suffered as a result
of that person’s conduct;
(c) cancel the contract and claim any damages which it has suffered as a
result of having to make less favourable arrangements due to such
cancellation;
(d) recommend that the tenderer or contractor, its shareholders and
directors, or only the shareholders and directors who acted on a
fraudulent basis, be restricted from obtaining business from any organ
of state for a period not exceeding 10 years, after the audi alteram
partem (hear the other side) rule has been applied; and
(e) forward the matter for criminal prosecution, if deemed necessary.
……………………………………….
SIGNATURE(S) OF TENDERER(S)
SURNAME AND NAME: ……………………………………………………….

DATE: ………………………………………………………
ADDRESS: ………………………………………………………
………………………………………………………
………………………………………………………
………………………………………………………
MBD 7.2
CONTRACT FORM - RENDERING OF SERVICES
THIS FORM MUST BE FILLED IN DUPLICATE BY BOTH THE SERVICE PROVIDER (PART 1) AND THE
PURCHASER (PART 2). BOTH FORMS MUST BE SIGNED IN THE ORIGINAL SO THAT THE SERVICE
PROVIDER AND THE PURCHASER WOULD BE IN POSSESSION OF ORIGINALLY SIGNED
CONTRACTS FOR THEIR RESPECTIVE RECORDS.
PART 1 (TO BE FILLED IN BY THE SERVICE PROVIDER)
1. I hereby undertake to render services described in the attached bidding documents to (name of the
institution)……………………………………. in accordance with the requirements and task directives
/ proposals specifications stipulated in Bid Number………….……….. at the price/s quoted. My
offer/s remain binding upon me and open for acceptance by the Purchaser during the validity period
indicated and calculated from the closing date of the bid.
2. The following documents shall be deemed to form and be read and construed as part of this
agreement:
Bidding documents, viz

Invitation to bid;
Tax clearance certificate;
Pricing schedule(s);
Filled in task directive/proposal;
Preference claims for Broad Based Black Economic Empowerment Status Level of
Contribution in terms of the Preferential Procurment Regulations 2011;
Declaration of interest;
Declaration of Bidder’s past SCM practices;
Certificate of Independent Bid Determination;
Special Conditions of Contract;
General Conditions of Contract; and
Other (specify)
3. I confirm that I have satisfied myself as to the correctness and validity of my bid; that the price(s) and
rate(s) quoted cover all the services specified in the bidding documents; that the price(s) and rate(s)
cover all my obligations and I accept that any mistakes regarding price(s) and rate(s) and
calculations will be at my own risk.
4. I accept full responsibility for the proper execution and fulfilment of all obligations and conditions
devolving on me under this agreement as the principal liable for the due fulfillment of this contract.
5. I declare that I have no participation in any collusive practices with any bidder or any other person
regarding this or any other bid.
6. I confirm that I am duly authorised to sign this contract.
NAME (PRINT) …………………………….
CAPACITY ……………………………. …….…………………………………

WITNESSES
SIGNATURE …………………………….
……………………………………....
NAME OF FIRM …………………………….
DATE
DATE …………………………….
MBD 7.2
CONTRACT FORM - RENDERING OF SERVICES
PART 2 (TO BE FILLED IN BY THE PURCHASER)
I……………………………………………. in my capacity as……………………...…………………………

accept your bid under reference number ………………dated………………………for the rendering of services
indicated hereunder and/or further specified in the annexure(s).
An official order indicating service delivery instructions is forthcoming.
I undertake to make payment for the services rendered in accordance with the terms and conditions of the
contract, within 30 (thirty) days after receipt of an invoice.
MINIMUM
PRICE (ALL B-BBEE THRESHOLD FOR
DESCRIPTION OF APPLICABLE COMPLETION STATUS LEVEL LOCAL
SERVICE TAXES DATE OF PRODUCTION AND
INCLUDED) CONTRIBUTION CONTENT (if
applicable)
I confirm that I am duly authorised to sign this contract.
SIGNED AT ……………………………………… ON ………………………………..
NAME (PRINT) ………………………………………….
SIGNATURE …………………………………………
OFFICIAL STAMP
WITNESSES
….…………………………….
…..…………………………….
DATE: ……………………………..
MBD 8
DECLARATION OF BIDDER’S PAST SUPPLY CHAIN MANAGEMENT

PRACTICES
This Municipal Bidding Document must form part of all bids invited.
It serves as a declaration to be used by municipalities and municipal entities in ensuring that when
goods and services are being procured, all reasonable steps are taken to combat the abuse
of the supply chain management system.
The bid of any bidder may be rejected if that bidder, or any of its directors have:
abused the municipality’s / municipal entity’s supply chain management system or

committed any improper conduct in relation to such system;
been convicted for fraud or corruption during the past five years;
willfully neglected, reneged on or failed to comply with any government, municipal or
other public sector contract during the past five years; or
been listed in the Register for Tender Defaulters in terms of section 29 of the Prevention
and Combating of Corrupt Activities Act (No 12 of 2004).
In order to give effect to the above, the following questionnaire must be completed and
submitted with the bid.
Item Question Yes No

4.1 Is the bidder or any of its directors listed on the National Treasury’s Database of Yes No
Restricted Suppliers as companies or persons prohibited from doing business with
the public sector?
(Companies or persons who are listed on this Database were

informed in writing of this restriction by the Accounting
Officer/Authority of the institution that imposed the restriction after
the audi alteram partem rule was applied).
The Database of Restricted Suppliers now resides on the

National Treasury’s website(www.treasury.gov.za) and can
be accessed by clicking on its link at the bottom of the home
page.
4.1.1 If so, furnish particulars:
4.2 Is the bidder or any of its directors listed on the Register for Tender Yes No
Defaulters in terms of section 29 of the Prevention and Combating of
Corrupt Activities Act (No 12 of 2004)?
The Register for Tender Defaulters can be accessed on the National Treasury’s
website (www.treasury.gov.za) by clicking on its link at the bottom of
the home page.
4.3 Was the bidder or any of its directors convicted by a court of law (including a Yes No
court of law outside the Republic of South Africa) for fraud or corruption
during the past five years?
Item Question Yes No

4.4Does the bidder or any of its directors owe any municipal rates and taxes or Yes No
municipal charges to the municipality / municipal entity, or to any other n
municipality / municipal entity, that is in arrears for more than three
months?
4.5 Was any contract between the bidder and the municipality / municipal entity Yes No
or any other organ of state terminated during the past five years on account
of failure to perform on or comply with the contract?
CERTIFICATION
I, THE UNDERSIGNED (FULL NAME) …………..……………………………..……

CERTIFY THAT THE INFORMATION FURNISHED ON THIS
DECLARATION FORM TRUE AND CORRECT.
I ACCEPT THAT, IN ADDITION TO CANCELLATION OF A CONTRACT, ACTION MAY

BE TAKEN AGAINST ME SHOULD THIS DECLARATION PROVE TO BE FALSE.
………………………………………... …………………………..
Signature Date
………………………………………. …………………………..
MBD 9
CERTIFICATE OF INDEPENDENT BID DETERMINATION
1 This Municipal Bidding Document (MBD) must form part of all bids¹ invited.
2 Section 4 (1) (b) (iii) of the Competition Act No. 89 of 1998, as amended, prohibits an
agreement between, or concerted practice by, firms, or a decision by an association of
firms, if it is between parties in a horizontal relationship and if it involves collusive bidding
(or bid rigging).² Collusive bidding is a pe se prohibition meaning that it cannot be justified
under any grounds.
3 Municipal Supply Regulation 38 (1) prescribes that a supply chain management policy must
provide measures for the combating of abuse of the supply chain management system,
and must enable the accounting officer, among others, to:
a. take all reasonable steps to prevent such abuse;
b. reject the bid of any bidder if that bidder or any of its directors has abused the supply
chain management system of the municipality or municipal entity or has committed
any improper conduct in relation to such system; and
c. cancel a contract awarded to a person if the person committed any corrupt or

fraudulent act during the bidding process or the execution of the contract.
2.7 This MBD serves as a certificate of declaration that would be used by institutions to ensure
that, when bids are considered, reasonable steps are taken to prevent any form of bid-
rigging.
2.8 In order to give effect to the above, the attached Certificate of Bid Determination (MBD 9)
must be completed and submitted with the bid:
¹ Includes price quotations, advertised competitive bids, limited bids and proposals.
² Bid rigging (or collusive bidding) occurs when businesses, that would otherwise be
expected to compete, secretly conspire to raise prices or lower the quality of goods and /
or services for purchasers who wish to acquire goods and / or services through a bidding
process. Bid rigging is, therefore, an agreement between competitors not to compete.
MBD 9
CERTIFICATE OF INDEPENDENT BID DETERMINATION
I, the undersigned, in submitting the accompanying bid:

______________________________________________________________________
(Bid Number and Description)
in response to the invitation for the bid made by:

______________________________________________________________________
(Name of Municipality / Municipal Entity)
do hereby make the following statements that I certify to be true and complete in every respect :
I certify, on behalf of: _______________________________________________________

that:
(Name of Bidder)
2.12. I have read and I understand the contents of this Certificate;
2.13. I understand that the accompanying bid will be disqualified if this Certificate is found not
to be true and complete in every respect;
2.14. I am authorized by the bidder to sign this Certificate, and to submit the accompanying
bid, on behalf of the bidder;
2.15. Each person whose signature appears on the accompanying bid has been authorized by
the bidder to determine the terms of, and to sign, the bid, on behalf of the
bidder;
2.16. For the purposes of this Certificate and the accompanying bid, I understand that the word
“competitor” shall include any individual or organization, other than the bidder,
whether or not affiliated with the bidder, who:
(a) has been requested to submit a bid in response to this bid invitation;
(b) could potentially submit a bid in response to this bid invitation, based on their
qualifications, abilities or experience; and
(c) provides the same goods and services as the bidder and/or is in the same line of
business as the bidder
2.17. The bidder has arrived at the accompanying bid independently from, and without
consultation, communication, agreement or arrangement with any competitor.
However communication between partners in a joint venture or consortium³ will not
be construed as collusive bidding.
2.18. In particular, without limiting the generality of paragraphs 6 above, there has been no
consultation, communication, agreement or arrangement with any competitor
regarding:
prices; geographical area where product or service will be rendered (market
allocation)
(a) methods, factors or formulas used to calculate prices;
(b) the intention or decision to submit or not to submit, a bid;
(c) the submission of a bid which does not meet the specifications and
conditions of the bid; or
(d) bidding with the intention not to win the bid.
2.19. In addition, there have been no consultations, communications, agreements or
arrangements with any competitor regarding the quality, quantity, specifications and
conditions or delivery particulars of the products or services to which this bid
invitation relates.
2.20. The terms of the accompanying bid have not been, and will not be, disclosed by the
bidder, directly or indirectly, to any competitor, prior to the date and time of the official
bid opening or of the awarding of the contract.
10. I am aware that, in addition and without prejudice to any other remedy provided to combat
any restrictive practices related to bids and contracts, bids that are suspicious will be reported
to the Competition Commission for investigation and possible imposition of administrative
penalties in terms of section 59 of the Competition Act No 89 of 1998 and or may be reported
to the National Prosecuting Authority (NPA) for criminal investigation and or may be restricted
from conducting business with the public sector for a period not exceeding ten (10) years in
terms of the Prevention and Combating of Corrupt Activities Act No 12 of 2004 or any other
applicable legislation.
………………………………………………… …………………………………
Signature Date
…………………………………………………. …………………………………
BID DOCUMENT

ERF 1233 ESTCOURT
PARTICULARS OF BIDDER
PARTICULARS OF BIDDER
THE FOLLOWING PARTICULARS MUST BE FURNISHED

(FAILURE TO DO SO MAY RESULT IN YOUR BID BEING DISQUALIFIED)
Name of Bidder: ________________________________________________________
Postal Address _____________________________________________________
__________________________________________
Street Address ______________________________________________________
_________________________________________________________________
Telephone Number Code _______________Number____________________________
Cellphone Number_______________________________________________________
Facsimile Number Code________________Number_____________________________
E-mail Address __________________________________________________________
Contact Person________________________________________________________
Company / Enterprise Income Tax

ReferenceNumber: _______________________________________________________
NO / YES
Has a valid Tax Clearance Certificate been attached (MBD2)
Vat Registration umber____________________________________________________
Company Registration No_________________________________________
____________________________________________
Is the Firm registered or does it have a Business License(s): (Tick one box)
YES NO
If YES, give details and quote relevant Reference numbers and dates
______________________________________________________________________
______________________________________________________________________
Are you the accredited Representative in South Africa for the Goods / services offered by
you? YES/NO (If YES enclose proof)
AN ORIGINAL VALID TAX CLEARANCE CERTIFICATE MUST BE ATTACHED TO YOUR

BID.
The undersigned, who warrants that he/she is duly authorised to do so on behalf of the firm, affirms
that the information furnished is true and correct.
Signature: __________________________________________
Date: __________________________________________
Duly authorised to sign on behalf of: _________________________________________
Address: __________________________________________
_________________________________________
Telephone Number: ________________________________________
Banking Details:
Name of Bank: ________________________________________________________
Account Number: _____________________________________________________
Branch Code: ________________________________________________________

BID DOCUMENT

ERF 1233 ESTCOURT
CLARIFICATION MEETING
CERTIFICATE OF ATTENDING THE CLARIFICATION MEETING
This is to certify that (Name of Company):
______________________________________________________________________
Of (address):
____________________________________________________________________
____________________________________________________________________
Was represented by the person(s) named below at the compulsory clarification meeting
held for all tenderers at
Inkosi Langalibalele Local Municipality, Civic Buildings, Victoria Street, Estcourt,
On (date): _____________________________ starting at 10:00am.
We acknowledge that the purpose of the meeting was to acquaint ourselves with the site
of works and/or matters incidental to doing the work specified in the tender document in
order for us to take accout of everything necessary when compiling our rates and prices
in connection with the tender.
Particulars of person(s) attending the meeting:
Name: ____________________________________ Signature: ___________________
Capacity: _____________________________ Date and Time: ____________________
Attendance of the above person(s) at the meeting is confirmed by the Municipal

Employee, namely:
Name: ________________________________ Signature: _____________________
Capacity: ____________________________ Date and Time: ___________________

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LOCAL MUNICIPALITY – UMKHANDLU WENDAWO

PLANNING SERVICES DEPARTMENT

BID NO: ILM 01/23/24

PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

BIDDERS NAME: ………………………………………………………….......................

10. CLARIFICATION MEETING

PLANNING SERVICES DEPARTMENT

BID NO: ILM 01/23/24

PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

INKOSI LANGALIBALELE LOCAL MUNICIPALITY

PROPOSED LOCAL ECONOMIC DEVELOPMENT OF ERF1233 ESTCOURT

Proposed Local Economic

The “Pre-qualification” evaluation criteria will be based on the following functionalities:

NB: PREFERENCE WILL BE GIVEN TO THE FOLLOWING CATALYTIC PROJECTS:

Technical enquiries shall be directed to:

Planning Department – Mr F Shaik on 036 342 7800 (fairoz@ilm.gov.za )

• Proposals must clearly indicate a comprehensive response to the elements of the

• Bids submitted are to be valid for a period of 120 days.

PLANNING SERVICES DEPARTMENT

BID NO: ILM 01/23/24

PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

CONDITIONS OF THE BID

CONDITIONS OF THE BID

PLANNING SERVICES DEPARTMENT

BID NO: ILM 01/23/24

PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

GENERAL CONDITIONS OF CONTRACT

BID NO: ILM 01/23/24 THE PROPOSED LOCAL ECONOMIC DEVELOPMENT OF

GENERAL CONDITIONS OF CONTRACT

The following terms shall be interpreted as indicated:

1.7. “Day” means calendar day.

1.13. “Fraudulent practice” means a misrepresentation of facts in order to influence a

1.14. “GCC” means the General Conditions of Contract.

1.16. Supply to the purchaser under contract.

1.23. “Republic” means the Republic of South Africa.

1.24. “SCC” means the Special Conditions of Contract.

1.27. “Tort” means in breach of contract.

5. Use of contract documents and information

8. Inspections, tests and analysis

10. Delivery and documents

13. Incidental Services

(a) performance or supervision of on-site assembly and/or commissioning of the

14. Spare parts

(i) advance notification to the purchaser of the pending termination, in sufficient

16.4. Payment will be made in Rand unless otherwise stipulated.

18. Variation orders

21. Delays in the supplier’s performance

23. Termination for default

24. Anti dumping and countervailing duties and rights

25. Force Majeure

26. Termination for insolvency

27. Settlement of Disputes

27.4. Notwithstanding any reference to mediation and/or court proceedings herein,

28. Limitation of Liability

29. Governing language

30. Applicable law

32. Taxes and duties

33. Transfer of contracts

34. Amendment of contracts

35. Prohibition of restrictive practices

35.2 If a bidder(s) or contractor(s) based on reasonable grounds or evidence obtained by

PLANNING SERVICES DEPARTMENT

BID NO: ILM 01/23/24

PROPOSED LOCAL ECONOMIC DEVELOPMENT OF